Fridge Recycler Sues AIG Unit Over Defense Costs

Law360, New York (February 4, 2009, 12:00 AM EST) -- Jaco Environmental Inc. has sued American Specialty Lines Insurance Co., saying the insurer should pay the defense costs in a patent infringement suit brought by a rival against the refrigerator recycling company.

In the suit, filed Monday in the U.S. District Court for the Western District of Washington, Jaco, President Terry Jacobsen and Director of Energy and Environmental Programs Michael Dunham asked the court for a declaratory judgment against the American International Group Inc. subsidiary. The suit also accuses AISLIC of breach of contract.